Property tax was established in Kentucky June 1, 1792, the date the state was created.
The Kentucky Constitution and KRS 143.450 require that all property must be assessed at fair market value. The Kentucky Department of Revenue oversees this requirement. The Clark County PVA office uses the most advanced computer equipment and software available to comply with the law.
If two pieces of property are equal, they should be assessed equally.
It's Fair. It's the Law.
What's the Problem?
What is being done to solve the problem?
When equal property is assessed equally, at fair market value, there is no problem. The problem comes when two comparable properties, like numbers 3 and 4 above, have different valuations.
All taxable real estate in Clark County is being revalued to ensure that everyone is treated fairly and equally. Our systematic approach will revalue property, equalize assessments and comply with state laws.
What requires that property be revalued?
The Kentucky Department of Revenue. The Kentucky Department of Revenue monitors and enforces compliance with the law. All property must be revalued each year and must be physically examined at least once every four years.
What is "Fair market value?"
It is the estimated prices that a willing buyer would pay and a willing seller would accept. In other words, it is an estimate of how much a property is really worth.
How can I estimate what is the "fair market value" of my property?
Simply look at similar properties that have sold recently. This will give you a good idea of the value of your home or property.
Why are some assessments unequal?
This is the most common situation.
- A property sells and the actual sale price is used to set the assessed value.
- Similar property, often located in the same neighborhood, has not sold in many years. It has an older assessment that is not as high as the "fair market
value" established by the property that sold.
- The properties are equal, but the assessments are not.